A QUIZ: Understanding Statements of Financial Activities and the relationship between the Net Assets shown on the Statement

of Financial Activity and the Statement of Financial Position

INSTRUCTIONS 1) Use simply Algebra to "fill-in the blank" as denoted by the Q1, Q2, Q3, etc. Put answers in the "ANSWER SHEET" provided below. 2) Remember that within the Statement of Financial Activity, Total Revenues - Total Expenses = Change in Net Assets 3) Remember that the annual Change in Net Assets recorded in the Statement of Financial Activity (in any given year) gets added to the Net Assets shown in the Statement of Financial Position from the prior year. 4) Assume that at its inception, ACME Non-Profit Organization has $0 net assets.

Financial Date of the ACME Non-Profit Organization from its Inception in January 2000 - December 2010
Statement of Financial Activity Total Revenues Total Expenses Change in Net Assets Statement of Financial Position Net Assets ANSWER SHEET Questions ANSWERS 1 $100 2 $90 3 ($10) 4 ($20) 5 $90 6 $30 7 $150 8 $10 9 $25 10 $65 11 $150 12 $55 13 ($50) FY2001 Q1 $90 $10 FY2002 $90 Q2 $0 FY2003 $90 $100 Q3 FY2004 $100 $120 -$20 FY2005 $140 Q5 $50 FY2006 Q7 $140 Q8 FY2007 $175 $150 Q9 FY2008 Q11 $160 -$10 FY2009 $100 $150 Q13 FY2010 $150 $130 Q14

$10

$10

$0

Q4

Q6

$40

Q10

Q12

$5

Q15

14 15

$20 $25